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LLY
Fox Business
214 days

Ozempic, Wegovy among drugs subject to Medicare price controls

1. Medicare will impose price controls on 15 prescription drugs in 2027. 2. Novo Nordisk's diabetes drugs Wegovy and Ozempic are included in this list. 3. Price control aims to reduce costs for Medicare Part D beneficiaries. 4. Drugmakers criticize the process, fearing negative impacts on innovation and access. 5. A coalition of over 40 groups is urging Congress to repeal the pricing scheme.

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FAQ

Why Bearish?

Price controls could reduce future revenues for LLY and similar companies. Past examples show price negotiations can affect market performance, like in the case of Merck.

How important is it?

The article discusses future legislative actions that could affect drug prices and accessibility.

Why Long Term?

Long-term price controls may hinder drug development and profitability. Historical shifts in drug policies have reshaped market expectations over years.

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